Entain considers possible sale of Crystalbet
The Georgia-facing betting brand has been defined as “non-core”.
UK.- London-listed Entain has completed its strategic review and will hold on to its core brands. However, it has defined Georgia-facing Crystalbet as non-core and will consider a possible sale after receiving interest from several parties.
The board’s Capital Allocation Committee announced the review in January to analyse Entain’s portfolio of over 30 brands with the aim of maximising shareholder value. The move came amid some shareholder criticism of its recent strategy of acquisitions.
The review concluded that “Entain has the appropriate portfolio of diversified strategic assets, brands, capabilities, and geographic footprint to ensure it is well positioned to deliver high-quality long-term growth.”
However, on Crystalbet, Entain said: “The committee concluded that the brand is non-core to the group. As such, strategic alternatives for this business will be considered, including interest already received from potential acquirers.” Entain did not disclose the identity of any interested parties.
Meanwhile, the CAC recommended the continued prioritisation of growth in North America where Entain has a presence through its BetMGM joint venture. It also cited Project Romer, which aims to achieve cost savings through simplifying Entain’s operating structure, as a key technical priority.
Outgoing chairman Barry Gibson said: “I am delighted that the Capital Allocation Committee has concluded its strategic review of our portfolio. Whilst we still have more work to do to improve our operational performance, the Board is pleased with the progress Entain is making so far in 2024 in line with our strategy.”
It had been reported that Entain was also looking for a buyer for Party Poker. That seems not to be the case now, but the CAC will continue to review strategic progress.
